Jack Lew learned of IRS probe in March

Treasury Secretary Jack Lew learned in March that an inspector general was investigating the IRS’s targeting of conservative groups, but he did not know the details until last Friday.

Lew said in an interview with Bloomberg TV today that he met with the inspector general closely after assuming his post, but he was presented only with a list of ongoing investigations, not specific details of the audit on conservative groups.

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“When I learned about it — from the moment I learned about it, I was outraged,” he said. “As a citizen, it is a matter of the highest priority that the IRS be beyond suspicion in terms of its integrity.”

It was public knowledge that an investigation was ongoing when Lew was briefed. The Treasury inspector general for tax administration also sent a letter to Rep. Darrell Issa in July 2012 saying it would audit the agency.

“The heads-up that I got was something that was a matter of public knowledge. It was posted on the IG’s website in the fall of 2012,” Lew added. “I was not aware of any details. My deputy was not aware of any details until it became a matter of public knowledge.”

Republicans are homing in on when the White House first knew the IRS was inappropriately singling out conservative groups applying for tax-exempt status for extra scrutiny. Acting IRS Commissioner Steven Miller was grilled at a House Ways and Means Committee hearing on Friday about whether he told the White House or the Treasury about the program.

Miller said he hadn’t and announced earlier this week that he plans to resign.

Lew also defended Sarah Hall Ingram, a commissioner who has been targeted by Republicans for formerly overseeing the tax exempt division before heading to her current post helping the agency implement the health care law.

Ingram, Lew said, was not involved in the targeting program.

“Chronology matters in cases like this,” he said. “I’ve asked some questions since becoming aware of this, and my understanding is her responsibilities moved over from the tax exempt unit to implementation of the Affordable Care Act before there was any opportunity to be involved in this.”

Ingram served as the commissioner of tax-exempt organizations between 2009 and 2012.

Lew said he will look to see whether there are “systemic” issues within the agency that caused front-line employees to first target the conservative groups.

Daniel Werfel, the Office of Management and Budget official President Barack Obama nominated to be the next acting commissioner, will report to Lew within 30 days about what the IRS has done to correct its mistakes.